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Conditional Relief: Rajasthan HC Stays Compensation Decree in Fatal Accident Case

The Rajasthan High Court (Jaipur Bench) has intervened in a significant liability dispute between a state-owned power distribution company and the family of a deceased individual. Justice Ashutosh Kumar, presiding over a civil first appeal, has granted a conditional stay on a trial court decree that initially awarded over Rs 13 lakh in compensation.

The Conflict: A Family’s Claim and a Utility’s Appeal

The case arises from a tragic incident involving the family of the late Shri Rajiv. His widow, Smt. Vinod Kumari, along with her minor son and mother-in-law, initiated a civil suit under the Fatal Accident Act, 1855 , against Ajmer Vidyut Vitran Nigam Limited (AVVNL).

Following the proceedings in the Court of the Additional District Judge No. 3, Jaipur, the trial court delivered a verdict on October 13, 2025. The court found partial merit in the claimants' suit and awarded a total compensation of Rs 13,32,592, coupled with an interest rate of 9% per annum. Dissatisfied with this decision, AVVNL approached the High Court under Section 96 of the Code of Civil Procedure (CPC) to challenge the judgment and decree.

Balancing Equity: The Court’s Approach

In its appeal, AVVNL sought an immediate stay on the operation of the trial court’s decree. Appearing for the appellant, counsel argued for the suspension of the payment mandate while the appellate case remains sub judice.

The High Court accepted the maintainability of the appeal and focused its immediate attention on the request for a stay. Recognizing the need to balance the legal rights of the power distribution utility to challenge the adverse decree against the immediate needs of the bereaved claimants, the Court adopted a standard middle-ground approach often seen in high-value civil litigation.

Key Observations

The Court’s order emphasized financial security for the respondents while ensuring the appellant's right to pursue the appeal:

• "The appellants are directed to deposit 50% of the decreetal amount along with the interest granted in favour of the respondents... within a period of 30 days from today."
• "On depositing the said amount by the appellants, the same shall be disbursed amongst the respondents in terms of the award on an undertaking by the respondents that in case, appeal of appellants succeeds, the respondents shall repay the amount, so received, along with interest @ 9% per annum."
• "If the aforesaid amount is deposited by the appellants within the stipulated period, then the effect and operation of the impugned judgment and decree... shall remain stayed, till further orders of this Court."

What Comes Next?

By mandating a 50% deposit, the Rajasthan High Court has ensured that the family is shielded from total hardship while the legal merits of the compensation award are scrutinized. The respondents must provide an undertaking that they will refund the money, with 9% interest, should the Nigam eventually win its appeal. The court has summoned the records of the trial court and listed the matter for further hearing in eight weeks, marking the next stage in this high-stakes liability battle.